New Member
makingitrite
Posts: 3
Registered: ‎07-04-2012
Trying to figure some things out....

Hello

 

A newbie here trying to figure out some things.

I am looking to buy a new car around October 2012. I am in the process of cleaning up and improving my credit scores (the average between the 3 is around 615). My current debt is 2 small cc and my car payment to drivetime. I also have a deferred student loan. All of the "bad" accounts (repo and bankruptcy discharged in 2004) are either paid or old and still showing on my reports.

 

I am looking to borrow about $20,000 for a car and will have a down payment of $5000. I am worried about the debt to income ratio and if my student loan balance will be a factor. I currently make $49k/yr and know that I can afford a $500/mo payment. But if a payment for student loans is factored in my DTI ma be over 50%. Considering my scores are still low I don't know if I would get favorable financing. I hope this all makes sense and appreciate any responses.